As part of the Solving our Budget Challenges package announced on 2 July 2013, I indicated that the University would pay all staff a salary increase of 2%, backdated to 1 July 2013. This salary increase will be paid tomorrow.
In making this payment, we tried to balance what we believe is a reasonable salary increase to staff, comparable to inflation levels, whilst being financially responsible in the present budget climate. This increase is also consistent with increases being paid across the sector this year.
It is important to note that every 1% increase in salaries corresponds to approximately $5 million across the University.
Another way to consider any salary increase is that every 1% corresponds to approximately 50 jobs. Therefore, in making any decision we must be aware of the need to balance the payment of a well-earned pay rise against job security.
This is present in our minds as we continue with Enterprise Agreement negotiations with the NTEU and other unions. In the NTEU log of claims, they are seeking a salary increase of 28% over 4 years (i.e. 4 years at 7% per year).
We have informed the unions that the 2% rise paid tomorrow, followed by further increases of 2% in July 2014 and again in July 2015, is the University’s official offer in the bargaining process.
The NTEU has decided to suspend the Enterprise Bargaining process. This is disappointing news and we are encouraging the union to return to the process.
The University is committed to a reasonable salary outcome for staff, whilst providing job security in a challenging financial period.
I am very confident about the future of ANU. We continue to produce outstanding research, attract the most gifted students and employ world-leading staff. We continue to focus on real quality. Although Enterprise Bargaining is never an easy process, I am committed to an open and collegiate discussion which delivers the best outcomes for staff, students and the University.